Kuala lumpur: Cendana Auto Sdn Bhd and Finnish company SISU Auto today formalised an inaugural strategic collaboration aimed at advancing Malaysia's defence industrial capabilities through joint technology development, engineering excellence and localisation of defence vehicle platforms.

According to BERNAMA News Agency, the collaboration aligns with Malaysia's agenda to strengthen defence self-reliance and industrial resilience. It will focus on building in-country capabilities across the full value chain, ranging from research and development (R and D) and engineering to assembly, manufacturing, and lifecycle support.

At the core of the partnership is a joint development and engineering programme. This initiative will see both parties collaborate on the design and adaptation of advanced vehicle platforms, including Right-Hand Drive (RHD) configurations tailored to regional operational requirements.

Cendana Auto chief executive officer Fairuz Abd Razak stated that the collaboration would also focus on expanding local talent development through Technical and Vocational Education and Training (TVET) programmes and involving veterans from the Malaysian Armed Forces. He noted that about 30 per cent of their technical team are from TVET institutions such as GIAT MARA and IKBN, with students being involved in vehicle development.

The programme will emphasise structured technology transfer, co-development of systems and sub-systems, and the progressive development of local intellectual property. A key pillar of the collaboration is the localisation of production and support capabilities in Malaysia. Cendana Auto plans to expand and enhance its facilities to support local assembly and manufacturing, including Completely Knocked Down (CKD) and Semi-Knocked Down (SKD) programmes, while strengthening the domestic vendor ecosystem and supply chain.

SISU Auto vice-president Jyri Ahonen added that knowledge and technology transfer are essential to ensure the long-term sustainability and operational readiness of the vehicle fleet in Malaysia. He highlighted the importance of these transfers for Cendana Auto to provide lifecycle support for the vehicle fleet. Ahonen also described Cendana Auto as a natural partner, citing its proven capabilities and experience in the vehicle industry.